What is the average cost of company liquidation?

by Martin on September 5, 2013
0 comments

The cost of liquidation varies according to the size of the insolvent company and the type of liquidation procedure involved:
 

Compulsory Liquidation
• Creditors’ Voluntary Liquidation (CVL)
• Members’ Voluntary Liquidation (MVL)

 

In general, if the company has assets that can be sold, the liquidator’s fee will be charged as a cost of the liquidation – payable out of the proceeds realised. However, if there are no assets, then the liquidation costs must be paid in advance.

Value for money, total transparency

 

We’re able to offer extremely competitive fees, regardless of your location. We’re not the cheapest, but we do believe that you’ll struggle to find many firms able to compete with us on a level playing field.
As one of the first insolvency businesses to disclose our fees online, we’re extremely open about what our fees are used for and promise not to hide any details from you. We also guarantee no hidden extras.

Compulsory or voluntary?

 

Whether you’re a disgruntled creditor or a company director, choosing to wind up a company will cost you money. Typical Compulsory Liquidation costs are £2,000 to £3,000, which should include all court costs and disbursements.
It’s worth noting that this amount of money would cover the cost of Creditors’ Voluntary Liquidation, which is a less aggressive way to close a business properly.

Care to Start Afresh?

 

Insolvency doesn’t have to mean the end of your business: you can take the healthy parts and use them in a future company.
Our unique service called Start Afresh uses the CVL process as a restructuring tool instead of a full closure tool. Its fixed fee starts from £3,000, including VAT and disbursements.

No asset option

 

We also provide a No Asset Liquidation service. This is very popular with directors who are able to pay for liquidation without needing to sell any of the company’s assets. The fully inclusive fixed price starts from £2,500.
 

We hope that this has given you some idea of the costs involved in liquidating a company.

Leave a Comment